Cassiopeia inc. is currently trading at $100 per share. After examining the stock of Cassiopeia, you have determined that in each 3 month period its price will either increase to 25% or decrease by 20%. The interest rate is 3% every 3 months.

a) A six month European call option on Cassiopeia has an exercise price of $90. What is the value of this call option?

b) What is the value of a six month European put option on Cassiopeia with an exercise price of $90?

c) Verify that put-call parity holds.

d) Now suppose that Cassiopeia pays a dividend equal to $25 in three months. What is the value of a six month American call option on Cassiopeia with an exercise price of $90? Would you ever want to exercise this option early?

Cassiopeia inc. is currently trading at $100 per share. After examining the stock of Cassiopeia, you have determined that in each 3 month period its price will either increase to 25% or decrease by 20%. The interest rate is 3% every 3 months.

a)A six month European call option on Cassiopeia has an exercise price of $90.What is the value of this call option?

b)What is the value of a six month European put option on Cassiopeia with anexercise price of $90?

c)Verify that put-call parity holds.

d)Now suppose that Cassiopeia pays a dividend equal to $25 in three months.What is the value of a six month American call option on Cassiopeia with anexercise price of $90? Would you ever want to exercise this option early?

Q.1.

Which medical theory maintains that interruptions of the body's functions must be treated with significant interventions to restore normal bodily functioning or health?

Q.2.

The allopathic philosophy is based on all of the following except:

Q.3.

In early investigation of acupuncture physiology, the placebo effect was believed to be the primary cause of relief by patients.

True

False

Q.4.

According to energy and vibrational practitioners, the universe is composed primarily of energy and the body is composed primarily of matter.

True

False

Q.5.

The Chinese Medicine practice of cupping is widely accepted by the American Cancer Society for the treatment of some types of cancer.

True

False

2.Frederich List, an-early 19th-century German economist, is famous for making the so-called “infant industry” argument. He wrote:Had the English left everything to itself—'Laissez faire, laissez aller', as the popular economical school recommends—the [German] merchants of the Steelyard would be still carrying on their trade in London, the

Belgians would be still manufacturing cloth for the English, England would have still continued to be the sheep-farm of the Hansards, just as Portugal became the vineyard of England, and has remained so till our days, owing to the stratagem of a cunning diplomatist.

List ideas were invoked by Latin American economists to justify ISI. Explain what the

“popular economical school” recommends, describe ISI, list its advantages and disadvantages, and, on that basis, assess List’s argument.

A stock price is currently $50. A stock price is currently $50. Over each of the next two three-month periods it is expected to go up by 6% or down by 5%. The risk-free interest rate is 5% per annum with continuous compounding. Use two-period binomial models to value the six-month options on this stock. Remember to show detailed calculations of the option value at each node.

(a) What is the value of a six-month European call option with a strike price of $51?

(b) What is the value of a six-month European put option with a strike price of $51? Verify that the European call and European put prices satisfy put–call parity.

(c) If the put option in part (b) of this question were American, would it ever be optimal to exercise it early at any of the nodes on the tree?

A stock price is currently $50. A stock price is currently $50. Over each of the next two three-month periods it is expected to go up by 6% or down by 5%. The risk-free interest rate is 5% per annum with continuous compounding. Use two-period binomial models to value the six-month options on this stock. Remember to show detailed calculations of the option value at each node.

(a) What is the value of a six-month European call option with a strike price of $51?

(b) What is the value of a six-month European put option with a strike price of $51? Verify that the European call and European put prices satisfy put–call parity.

(c) If the put option in part (b) of this question were American, would it ever be optimal to exercise it early at any of the nodes on the tree?

How can automobiles produced in Michigan be sold at the same price as automobiles produced in the southern part of the country? Autoworkers in both places are equally productive, but autoworkers' health insurance premiums in Michigan are much higher than autoworkers' premiums in the South.

The Constitution is a revered document that guides politics today... but how should it be interpreted? How strictly should we interpret the Constitution? Is America still ruled by "WE THE PEOPLE"? Can it adapt to a 21st century America and does it need to?

• Briefly describe how you will evaluate Bank of America performance
• How is Bank of America doing financially? How do you know?
• Which financial statement do you think provides the best information for investors?

Only one question.

1. Why CFS’s business needs to have an ethical approach? Discuss the interrelationship between ethics and sustainability as it relates to the food industry.

Case:
You are a group of fresh business graduates being tasked by an investment company (Alfa Investment) to assist a newly appointed CEO of Centennial Food Supermarkets (CFS).
CFS has been listed on the Toronto Stock Exchange last year and new realities of being a public listed corporation required its new investors (Alpha) to push for a more sustainable agenda in CFS. Alfa Investment and CFS’s directors are concerned about their expansion plans in the coming years. They are planning to expand their chain stores all over Canada as well as some developing nations in South America. Moreover, the company is shaping its global supply chains by engaging with new suppliers from South East Asia and Africa to have a more reliable source for fresh Beef, Pork and Lamb. The transition from a family-owned traditional company to a modern listed corporation is highlighting some serious challenges to CFS. Below are only some issues that Alpha Investment is particularly concerned about:

1. CFS workforce is 80 percent male and 20 percent female. Also, when it comes to ethnicity, approximately 85 percent of CFS employees are white and the rest are Asian, Latino and black. Of the company’s management and leadership roles, 90 percent are held by whites. The company has shown a similar lack of gender diversity in leadership roles, where women hold less than 10 percent of positions.
2. Some suppliers in South East Asia are reported using children across production lines in their factories. 3. CFS has no official corporate code of ethics.
4. Salaries and payments to employees were decided on a case-by-case basis and there is a huge gap in salaries. Moreover, on average, male employees receive 20% more on the same tasks and positions.
5. Animal support NGOs (For instance Animal Liberation Front / ALF, Anti-vivisection Coalition / AVC, and Cruelty-Free International /CFI) are pressing for higher standards and self-regulation about animal products.